China's economy maintains recovery momentum in May

Hi everyone. I’m Stephanie LI.Coming up on today’s programChina’s economy displays resilience in May, bolstered by government’s pro-growth policy package;China and Central Asia see robust trade this year.Here’s what you need to know about China in the past 24 hours China’s economy withstood pressures, maintaining stable growth momentum in May, as its resilience is bolstered by the government’s latest package of stimulus policies, official data showed on Monday.In May, the total value added of industrial enterprises above the designated size grew by 5.8 percent year-on-year, while from January to May, it increased by 6.3 percent, according to latest data released by the National Bureau of Statistics (NBS).  Notably, the value-added of equipment manufacturing sector rose by 9.0 percent, and that of high-tech manufacturing grew by 8.6 percent, both outpacing the overall industrial growth rate, indicating a strong development momentum.  On domestic consumption, market sales rebounded significantly in May, with rapid growth in goods related to the trade-in programs, the spokesperson told a press conference on Monday.NBS data showed that total retail sales of consumer goods reached 413.26 billion yuan, up 6.4 percent year-on-year, accelerating by 1.3 percentage points from a month earlier. The services sector growth has gained pace, with modern services maintaining strong momentum. In May, the national services production index increased by 6.2 percent year-on-year.Fixed asset investment continued to expand, with manufacturing sector investment growing rapidly. From January to May, national fixed asset investment (excluding rural households) rose by 3.7 percent year-on-year. Investment in the information service sector rose 41.4 percent, while investment in aviation, aerospace, and equipment manufacturing grew by 24.2 percent year-on-year.The average surveyed urban unemployment rate in the first five months stood at 5.2 percent. In May, the rate was 5.0 percent, down 0.1 percentage points from April.  With the continued release of policy effects and the visible results of macro measures to stabilize economic development, China’s economy has maintained generally stable performance with steady progress seen in May, which demonstrated its resilience and vitality, said NBS spokesperson Fu Linghui .  However, Fu cautioned that external uncertainties remain abundant, while domestic demand still requires stronger internal momentum, and the foundation for sustained economic recovery needs further consolidation.  China's yuan-denominated foreign trade with the five Central Asian countries of Kazakhstan, Kyrgyzstan, Tajikistan, Turkmenistan, and Uzbekistan jumped a record 10.4 percent to 286.4 billion yuan in the first five months from a year earlier, according to China's General Administration of Customs on Sunday. The data came as the second China-Central Asia Summit is scheduled to take place in Astana, Kazakhstan from June 16 to 18, according to Xinhua. China's trade with the five Central Asian countries expanded from 312.04 billion yuan in 2013 to 674.15 billion yuan in 2024, up 116 percent. The average annual growth rate reached 7.3 percent, 2.3 percentage points higher than the average rate of China's overall trade during the same period.GBA expressMacao will implement a new visa policy to allow citizens from Saudi Arabia, Qatar, Kuwait, Bahrain, and Oman to enter the special administrative region of China without a visa or with pre-entry permission, CCTV News reported.Hong Kong Chief Executive John Lee Ka-chiu announced the start of public consultation for his fourth Policy Address, set to be delivered in September. The government will gather input from residents and stakeholders to shape policies aimed at driving reform, enhancing competitiveness, and improving livelihoods, he said. In a social media post, the Hong Kong leader emphasized that reform and innovation remain key priorities for Hong Kong’s development.InvestHK and the Hong Kong Science and Technology Parks will lead a delegation on Monday to showcase the city’s unrivaled advantages and opportunities as a global biotech hub during a major international convention in the United States. The delegation comprises of 16 life science and health technology companies and will attend the BIO International Convention 2025 in Boston.Industry and company newsThe 4th China-Africa Economic and Trade Expo wrapped up with fruitful results, as the event, after review by the organizing committee, announced 176 signed projects with a total value of USD11.39 billion, up 45.8 percent in project numbers and up 10.6 percent in project value compared with the previous edition, the organizers said on Sunday.Baidu announced its largest-ever AI talent hiring program to recruit top AI professionals, with a 60-percent increase in positions compared with last year, media reported on Sunday. The program covers 23 core businesses and 11 research areas, focusing on cutting-edge AI fields such as large language model algorithms, machine learning and speech technology. To recruit top campus talent, the program offers salaries with no upper limit.Pop Mart has opened the first store of its jewelry brand Popop in Shanghai. The store features accessories inspired by the Chinese toymaker’s most popular characters, including Labubu, Molly, and Crybaby, with prices ranging from 319 to 2,699 yuan.Beijing has become the first Chinese mainland city to support contactless fare payments for foreign American Express, MasterCard, JCB, Visa, and UnionPay card holders, on all of its 29 metro lines, the local metro authority said today.The overseas box office revenue of “Ne Zha 2” is projected to exceed USD100 million, setting a new record for Chinese films’ international releases in the past two decades, said Wang Changtian, chairman of Enlight Media, the distributor of the Ne Zha franchise. Wang also estimated that the derivative merchandise of the blockbuster could surpass 100 billion yuan.The 27th Shanghai International Film Festival opened in a glittering ceremony that paid tribute to the 120th anniversary of Chinese cinema, the 130th anniversary of world cinema and Shanghai's long contribution to the movie industry. The opening of the 10-day event on Saturday saw a record number of tickets sold. Asia-Pacific highlightsNew Zealand yesterday announced a 12-month visa waiver policy starting from November that will allow Chinese citizens with a valid Australian visa to stay in the country for up to three months with only a New Zealand Electronic Travel Authority. The visa policy doesn't apply to people transiting through Australia.Singapore recorded 1.37 million visitor arrivals in May, marking a 7.6 percent year-on-year increase, with China remaining the top source of tourists from January to May, according to data released by the Singapore Tourism Board on Monday.WeRide announced today it signed an MoU with Dubai’s Roads and Transport Authority and Uber to pilot autonomous vehicle operations in the city. During the initial phase, the vehicles will operate with a safety driver onboard, laying the groundwork for the full-scale commercial launch of driverless services next year.Marking the 50th anniversary of diplomatic relations between Thailand and China, Parnpree Bahiddha-Nukara, former Thai deputy prime minister and foreign minister, said bilateral ties have developed into a strategic partnership founded on mutual trust and common values. Parnpree highlighted several major achievements in recent years, including the launch of a foreign ministerial dialogue mechanism and a mutual visa exemption agreement. He said China plays a crucial role in the development of Global South countries. In a world facing turbulence and uncertainties, Parnpree believed Thailand-China collaboration will contribute to regional peace and development.